We estimate that we will receive net proceeds from this offering of
approximately US$107.7 million, or approximately US$124.6 million if the
underwriters exercise their over-allotment option in full, after deducting
underwriting discounts and commissions and the estimated offering expenses
payable by us.
The primary purposes of this offering are to create a public market for our
shares for the benefit of all shareholders, retain talented employees by
providing them with equity incentives and obtain additional capital. We plan to
use the net proceeds of this offering to expand our business operations as
follows:
• approximately 30% to enhance and expand our business operations;
• approximately 35% to enhance our technological capabilities, including our
technology infrastructure;
• approximately 25% to expand and improve our fulfillment facilities; and
• the balance for general corporate purposes, which may include funding working
capital needs and potential strategic investments and acquisitions, although
we have not identified any specific investments or acquisition opportunities
at this time.
The foregoing represents our current intentions based upon our present plans and
business conditions to use and allocate the net proceeds of this offering. Our
management, however, will have significant flexibility and discretion to apply
the net proceeds of this offering. If an unforeseen event occurs or business
conditions change, we may use the proceeds of this offering differently than as
described in this prospectus.
Pending any use described above, we plan to invest the net proceeds in
short-term, interest-bearing, debt instruments or demand deposits.
In using the proceeds of this offering, we are permitted under PRC laws and
regulations as an offshore holding company to provide funding to our PRC
subsidiaries only through loans or capital contributions and to our VIEs only
through loans, subject to satisfaction of applicable government registration and
approval requirements. We cannot assure you that we will be able to obtain these
government registrations or approvals on a timely basis, or at all.

The e-commerce industry in China is intensely competitive. Our competitors
include all major e-commerce companies in China, and other internet companies in
China that engage in social e-commerce businesses.
We anticipate that the e-commerce industry will continually evolve and will
continue to experience rapid technological change, evolving industry standards,
shifting customer requirements, and frequent innovation. We must continually
innovate to remain competitive.
We compete primarily on the basis of the following factors: (i) our ability to
attract and retain a large number of members and other users and establish
strong community bonding and maintain member loyalty through social interaction
effectively, (ii) our full-serviced platform that enables users to buy products
easily, (iii) strong fulfillment capabilities, including logistics and online
payment, (iv) advanced technology infrastructure, and (v) reliable and flexible
supply chain with customer-to-manufacturer (C2M) capability and strong
manufacturing partner network.
We believe that we are well-positioned to effectively compete on the basis of
the factors listed above. However, some of our current or future competitors may
have longer operating histories, greater brand recognition, better supplier
relationships, larger user base or greater financial, technical or marketing
resources than we do, and they may also adopt membership-based or social
network-driven e-commerce models or other similar models on their platforms.

Company Description

Mission
We aim to make commerce simpler and people’s lives better.
As a leading social e-commerce platform in China, we have pioneered a unique,
membership-based model that leverages the power of social interaction. We offer
high-quality products at attractive prices and incentivize our members

to
promote our platform and share our products with their social contacts. We
believe this, together with careful product curation, centralized merchandize
sourcing and efficient supply chain management, has allowed us to grow
organically and made us a trustworthy e-commerce platform providing superior
customer experience.
Our platform has attracted a large and growing base of users, including members
and non-members. These users are actively purchasing products on our platform.
Buyers on our platform increased from approximately 2.5 million in 2016 to
approximately 16.9 million in 2017 and further to approximately 23.2 million in
2018. During the same period, our GMV increased by 428.1% from RMB1.8 billion in
2016 to RMB9.6 billion in 2017 and by 134.4% from RMB9.6 billion in 2017 to
RMB22.7 billion in 2018. In 2018, 66.4% of our GMV were from purchases made by
our members and the remaining were from purchases made by non-members.
Members are the key participants on our platform and drivers of our substantial
growth. Our members typically pay to gain access to a dedicated app that
provides access to a curated selection of products, exclusive membership
benefits and features, including discounted prices. Our members, typically
middle-class consumers, are highly social and are interested in discussing and
sharing their shopping experiences and various products within their social
circles. Members often refer others to become members and are rewarded for doing
so. Members can also promote products on various social platforms and are
rewarded if those users purchase our products. We also provide support such as
training, technology support and customer services and we handle all aspects of
fulfillment and logistics, to make the process easier for them. As of December
31, 2018, we had accumulated 7.4 million members. We had approximately 6.1
million transacting members on our platform in 2018.
We offer products across a large variety of categories with the aim of catering
to the various daily needs of our users and their households. We also add to our
product offerings based on feedback and understanding of our members and users
based on various analytics. While we offer products from mainstream and emerging
brands, we also work with manufacturers directly to produce private labels. We
are also extremely focused on the quality and pricing of our products. We have
been intentionally maintaining a balance between expanding the product category
coverage to meet our users’ evolving demand and controlling the number of SPUs
in each category. As a result, we offered an average of 837, 2,315 and 6,613
SPUs on our platform on a daily basis in December 2016, December 2017 and
December 2018, respectively.
---
We currently generate revenues primarily from selling products on our platform
to users, including both members and non-members. Total orders we fulfilled
increased substantially from 13.5 million in 2016 to 75.8 million in 2017 and
further to 153.4 million in 2018.
---
Our principal executive offices are located at 15/F, South Building, Hipark
Phase 2, Xiaoshan District, Hangzhou 310000, Zhejiang Province, People’s
Republic of China. Our telephone number at this address is +86 571 8168-8920.
Our registered office in the Cayman Islands is located at the office of Maples
Corporate Services Limited, PO Box 309, Ugland House, Grand Cayman, KY1-1104,
Cayman Islands. Our main website is www.yunjiglobal.com.
Our agent for service of process in the United States is Puglisi & Associates,
located at 850 Library Avenue, Suite 204, Newark, Delaware 19711.

Full DescriptionPowered by:EDGAR® Online, a division of Donnelley Financial Solutions. EDGAR® is a federally registered trademark of the U.S. Securities and Exchange Commission. EDGAR Online is not affiliated with or approved by the U.S. Securities and Exchange Commission.

Please note that once you make your selection, it will apply to all future visits to NASDAQ.com.
If, at any time, you are interested in reverting to our default settings, please select Default Setting above.

If you have any questions or encounter any issues in changing your default settings, please email isfeedback@nasdaq.com.

CLOSEX

Please confirm your selection:

You have selected to change your default setting for the Quote Search. This will now be your default target page;
unless you change your configuration again, or you delete your
cookies. Are you sure you want to change your settings?

CLOSEX

Please disable your ad blocker (or update your settings to ensure that javascript and cookies are enabled), so that we can continue to provide you with the first-rate market news and data you've come to expect from us.